Which of the following is a tax expenditure?

Question

Quizplus · Accepted Answer

Tax expenditures are reductions in income tax liabilities that result from special tax provisions or regulations that provide tax benefits to particular taxpayers. Lower tax rates for stock and real estate profits (capital gains) are an example of tax expenditures because they allow investors to pay taxes at a lower rate than their regular income tax rate, effectively reducing the amount of tax revenue the government collects.

Which of the Following Is a Tax Expenditure